What are NFTs?
An NFT, or non-fungible token, is a digital collectible. NFTs are unique and not mutually interchangeable, which means no two NFTs are the same. A piece of digital art that was once just an internet meme can now be sold for 300 Ether (ETH), or about $590,000, thanks to a record on a blockchain. The blockchain is the digital database underpinning cryptocurrencies like bitcoin and ethereum. The true owner, or owners, of this digital art can be verified and the artwork cannot be reproduced, unlike regular memes or GIFs on the internet. Investors are quickly gobbling up buzzworthy NFTs and reselling them for profit.
How to Buy NFTs
Rarible is a community-owned marketplace that lets artists mint their work with the option to sell with single or split ownership either in an auction or at a flat price. Four more NFT marketplaces are SuperRare, Foundation, OpenSea, and Portion. Browsing the artwork for sale and watching the extreme bidding wars is quite the experience.
There are some things you should know before planning to buy an NFT. First, you’ll need to decide what marketplace you will use. Next, you need to know what kind of digital wallet is required and also what kind of cryptocurrency is necessary.
Lastly, be wary of fees. Some marketplaces charge a fee for the energy it takes to complete the transaction. Other fees can include conversion costs or closing costs.
How to Sell NFTs
The process for selling NFTs varies depending on the platform. On most marketplaces, you’ll upload your content and follow their instructions to convert it into an NFT. The specifics are up to you. For example, you can add a description of your art and suggest the price. NFTs are usually purchased with ethereum, but can be bought using other currencies.
How to make an NFT?
The process may be intimidating, but anyone can create an NFT. You’ll need a digital wallet, some ethereum, and an NFT marketplace to upload your content. Here you will convert your content into an NFT.
The Future of NFTs
NFTs are the hottest item in the recent crypto craze and. They will continue to become more popular as more artists discover them. But beware, if the hype starts to die down the value of an NFT could drop as easily as your stock.